HRM essentials for small, growing firms

Good human resource (HR) management can boost employees’ performance, job satisfaction and commitment towards their jobs, ultimately helping the organisation to achieve its objectives. While small, growing firms may lack the resources to be more involved in the wide range of human resource activities, they can still implement some HR best practices with ease. Here, we will examine why such practices are crucial for the business.

Proper documentation of HR policies, protocols, and performance development plans provides clarity on expected employee behaviours and workplace requirements to ensure smooth operations. It also helps the company to identify and hire candidates who would best meet its criteria, as well as ensure compliance with all labour laws. Simple rules for areas such as working hours, corporate attire and behaviour should be communicated to new employees before they start work.

Transparent benefits and policies to prevent unnecessary disputes

As part of the talent retention strategy, the HR department may propose some benefits for employees, such as health insurance and hospitalisation coverage.

By uploading the employee handbook on a shared folder and updating it frequently, HR professionals can facilitate communication of employees’ benefits and company policies to all staff. Such transparency also reduces the possibility of disputes between the employer and employees.

Training staff to add value to the business

Training and skill development are crucial for all companies, especially small, growing firms, as most employees in such organisations would likely assume more than one role. Cross-training and job rotation can help employees to understand the business as a whole.

HR professionals may assist other departments in gathering information from employees to identify the kind of training they lack and any skill development courses that they wish to attend but are unable to do so due to time constraints. Sending employees to relevant courses can improve their performance and close skill gaps.

Manpower is an organisation’s most important asset and managing staff effectively is therefore essential. HRM plays an important role in this process through employee empowerment and recognition, as well as the implementation of HR policies that ensure smooth operations.